Functional income distribution and growth in Thailand: A post Keynesian econometric analysis

Bruno Jetin and Ozan Ekin Kurt
Additional contact information
Ozan Ekin Kurt: UP13 - Université Paris 13

Post-Print from HAL

Abstract: The aim of this article is to analyze the effect of the income distribution between labor and capital on the growth performance of Thailand from a post Keynesian view. It rests on the theoretical model of Bhaduri and Marglin (1990) to see if an increase in the labor income share has a sufficient positive effect on consumption to offset a negative effect on investment and export demand. In order to investigate the question empirically we adopt and develop the approach of Stockhammer, Onaran, and Ederer (2009). Several measures of the labor income share are calculated to take into account the fact that wage labor represents only half of the total labor force and check the robustness of our results. We also introduce a new treatment of external trade to better integrate the price competitiveness of Thailand. The econometric investigation shows that the growth regime is profit-led over the period 1970–2011, which shows that rebalancing the Thai economy will be difficult and requires an overall change of strategy going beyond a simple prolabor policy.

Keywords: Development; functional distribution of income; growth; post Keynesian economics; Thailand (search for similar items in EconPapers)
Date: 2016
New Economics Papers: this item is included in nep-sea
Note: View the original document on HAL open archive server: https://hal.science/hal-01484216
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

Published in Journal of Post Keynesian Economics, 2016, 39 (3), pp.334-360. ⟨10.1080/01603477.2016.1202774⟩

Downloads: (external link)
https://hal.science/hal-01484216/document (application/pdf)

Related works:
Journal Article: Functional income distribution and growth in Thailand: A post Keynesian econometric analysis (2016)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-01484216

DOI: 10.1080/01603477.2016.1202774

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().